South Korea’s exports rebound in November

South Korea’s export recovery accelerated in November after a rebound in semiconductor demand, boosting optimism about the country’s economic outlook and global trade next year.

“Exports rose 7.8% over the previous year, compared with economists’ forecast of a 5% rise. Total imports fell 11.6%, leading to a trade surplus of $3.8 billion, and semiconductor shipments rose 12.9% in the first growth in 16 months,” according to South Korea’s trade ministry data.

South Korea’s trade figures are a major indicator of global trade activity, with the country shipping a variety of products, including machinery, display screens, and refined oil, across global supply chains.

The country’s economic outlook for 2024 also depends on the strength of export growth. The Central Bank of Korea narrowed its 2024 growth forecast to 2.1% on Thursday.

Challenges to Korean export prospects include global central banks continuing their battle against inflation through restrictive monetary policies and slowing demand in China, the world’s second-largest economy.